Grab will integrate Uber's flagship food and messenger services business in Southeast Asia to Grab's multi-mode and fintech transportation platform.
As part of the acquisition, Uber will have a 27.5 percent stake in Grab and CEO Uber Dara Khosrowshahi will join the Grab board of directors.
The next step taken by Grab is to integrate all existing Uber services in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.
In other words, not only transportation services, but also the new UberEats food delivery service is starting to come in this region. Grab has indeed been planning their own food delivery service. GrabFood is targeted for Southeast Asia in the first half of 2018.
"The acquisition announced today is a milestone of the start of a new era," said Anthony Tan, Group CEO and Co-founder, Grab in his official statement.
For the transportation aspect, Grab said it would develop an existing system, through collaboration with government and public transportation operators to become liaison.
There are already two services that have rolled out in other countries recently: GrabCycle and GrabShuttle Plus. GrabCycle becomes a bike provider that can be utilized through applications, while GrabShuttle Plus wants to be an intermediary consumer with existing public transport. Both services are also expected to be available to all Southeast Asian countries at the end of 2018.